The Fischer-Tropsch process for the production of straight chain hydrocarbons and oxygenated derivatives thereof from synthesis gas (CO and H.sub.2) is well known. Such reactions generally suffer from the drawback that selectivities to specific products and catalyst activity are low.
In the synthesis of alcohols from CO and H.sub.2, catalysts containing metals of the iron group give rise to the formation of linear higher alcohols, i.e., alcohols other than methanol. Cobalt-containing catalysts in particular lead to the formation of large amounts of ethanol. Some of the previous metals of Group VIII, e.g., rhodium, also promote the formation of ethanol. The present invention is directed to an improved catalyst containing an iron group metal and a precious metal which exhibits increased catalyst activity without substantially affecting alcohol product distribution.